(C) Gini 9. (b) what you give up to get that item. An opportunity cost Multiple Choice Ο is an unavoidable cost because it remains the same regardless of the alternative chosen. A comprehensive database of opportunity cost quizzes online, test your knowledge with opportunity cost quiz questions. ANSWERS: ECONOMICS MCQ 6. If total cost at 10 units is Rs 600 and Rs 640 for 11th unit. net benefit foregone from the best alternative use of the capacity required. View answer The central role of markets is to determine the (A) quality of goods (B) quantity of goods (C) level of income (D) price of goods. Ο Is Irrelevant In decision making because it occurred in the past. What is the MARGINAL cost … 10. Q.4. 2. c) I and III only. Which item used in the production of textiles by a firm would an economist An optimal assignment requires that the maximum number of lines which can be drawn through squares with zero opportunity cost should be equal to the number of _____. Ο Requires a current outlay of cash. Products that have an opportunity cost 6. The following TWO questions refer to the PPF diagram below. The idea behind opportunity cost is that the cost of one item is the lost opportunity to do or consume something else; in short, opportunity cost is the value of the next best alternative. The opportunity cost of producing more x is zero. Labour immobility f. Products that do not have an opportunity cost 7. (c) usually less than the dollar value of the item. III. Point A is inefficient. 4. b) I and II only. (A) opportunity cost (B) purchasing power parity (C) disposable income (D) consumer price index. (C) land, labor, and capital 7. 9. rows+columns- 1; rows-columns. (A) opportunity cost 10. d) I, II, and III. (B) capital 8. (d) Cost Centres, Profit Centres and Investment Centres . Economic cost excludes: (a) Accounting cost + explicit cost (b) Accounting cost + implicit cost (c) Explicit cost + Implicit cost (d) Accounting cost + opportunity cost. 10. Our online opportunity cost trivia quizzes can be adapted to suit your requirements for taking some of the top opportunity cost quizzes. The opportunity cost of an item is (a) the number of hours needed to earn money to buy the item. This cost is not only financial, but also in time, effort, and utility. The opportunity cost of producing more y is zero. Opportunity cost can lead to optimal decision making when factors such as price, time, effort, and utility are considered. rows or columns; rows and columns. a) III only. 8. The ordering cost, i.e., the cost of placing an order plus the cost of the bicycles be-ing purchased, has two components: The administrative cost involved in placing an or-der is estimated as $200, and the actual cost of each bicycle is $35 for this wholesaler. Since people must choose, they inevitably face trade-offs in which they have to give up things they desire to get other things they desire more. answer choices . I. variable manufacturing cost of the component. Cost Unit is defined as: (a) Unit of quantity of product, service or time in relation to which costs may be ascertained or expressed (b) A location, person or an item of equipment or a group of these for which costs are ascertained and used for cost … Opportunity cost is the cost of taking one decision over another. The opportunity cost of producing an additional unit of product A is. Ο Is the potential benefit lost by choosing a specific alternative course of action among two or more. fixed manufacturing cost of the component. 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